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Code Breach by Energex

Clause 5.7 of the Electricity Industry Code (the Code) requires a distributor to complete a standard service order, such as a disconnection request, within a set time.

On 8 April 2008, Energex wrote to the Authority to advise that a significant number of disconnection requests from retailers had not been performed within the time specified in the Code. Energex advised that this situation was expected to continue for an unspecified period of time. The Authority discussed this matter with Energex and advised Energex that it was required to meet the requirements of the Code. However, Energex has not remedied the situation.

The Authority considers that Energex's failure to meet these obligations constitutes a material breach of the Code.

On 25 July 2008, the Authority issued Energex with a Warning Notice regarding its breach of clause 5.7 of the Code. Energex is now obliged to take steps to remedy the breach and provide undertakings to avoid future breaches. The Warning Notice gives Energex 30 business days to respond.

A copy of the Warning Notice issued to Energex can be downloaded below.

On 25 September 2008, the Authority decided not to proceed with issuing Energex with a Code Contravention Notice having considered Energex’s response to the Warning Notice.

This decision was conditional on Energex completing the actions it had proposed in its Remedial Plan and providing the Authority with progress reports.

Decision/Recommendation

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Modified: 14 Nov 2008
Queensland Competition Authority
Level 19, 12 Creek Street
Brisbane, Queensland
Australia 4000
Phone: +61 (7) 3222 0555
Fax: +61 (7) 3222 0599